Learning objectives (with links to notes embedded)

• LO8A-01: Describe the components of shareholders' equity and explain how they are reported in a statement of shareholders' equity.

• LO8A-02: Describe comprehensive income and its components.

• LO8A-03: Understand the corporate for of organization and the nature of stock.

• LO8A-04: Record the issuance of shares when sold for cash and for noncash consideration.

• LO8A-05: Distinguish between accounting for retired shares and for treasury shares.

• LO8A-06: Describe retained earnings and distinguish it from paid-in capital.

• LO8A-07: Explain the basis of corporate dividends, including the similarities and differences between cash and property dividends.

• LO8A-08: Explain stock dividends and stock splits and how we account for them.

• LO8A-09: Discuss the primary differences between U.S. GAAP and IFRS with respect to accounting for shareholders’ equity.